How to gift digital Xbox One games over Xbox Live

Digital game gifting is finally available on Xbox One, allowing any game to be sent over Xbox Live. Here's how it works on the console.
Continuing to expand the Xbox One's digital ecosystem, a recent update to the console added the ability to gift games directly through its online marketplace. While previously, gifting digital games proved to be challenging via third-party retailers, game gifting integrates this as a native feature of Xbox Live.